Charlotte, NC (Bloomberg) -- Bloomberg News reported Thursday that an internal B. Of A. memo reveals a new $5 monthly fee will be applied to customers using a debit card for retail purchases.
When the planned announcement officially comes out, Bank of America's reason for applying the additional charge to it's checking account customers is for the company to recoup revenue lost after new federal rules capped the so-called 'swipe fees.'
Some bank customers with basic checking accounts who use debit cards for purchases may start getting assessed the new fee in January, Bank of America spokesperson Anne Pace said.
Users won't be charged for cash machine withdrawals, and clients with premium accounts, including those linked with Merrill Lynch brokerage, will not be affected.
The Federal Reserve's rules limiting the debit card swipe fees goes into effect next month, so Bank of America is joining the ranks of Wells Fargo, SunTrust, and JP Morgan Chase in applying additional fees.
The Fed capped debit-card swipe fees at 21 cents starting October 1st. It will let issuers tack on five basis points, or .05 percent, of each transaction. That means for a $38 purchase, the Fed cap stands at the banks getting $.02 on top of your purchases.